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UHC & Valley Children's Hospital Network Negotiations Update

Jul 17, 2015

UnitedHealthcare values their relationship with you and would like to take this opportunity to share the latest information about UHC's contract negotiations with Valley Children's Hospital¹.

Valley Children's, formerly known as Children's Hospital Central California, will continue to participate in their network through August 15, 2015, and UHC has been meeting with hospital officials for several months as an illustration of their commitment to renewing their relationship.

This contract impacts employer-sponsored health plans. The central issue that remains a focus of UHC's ongoing discussions involves their members' continued access to affordable, quality care at Valley Children's Hospital. The hospital wants to raise its rates by nearly five times more than what the average increase in health care costs has been across Northern California for participating care providers.

UHC is committed to working with the hospital to develop programs that provide access to quality care while helping control costs. California and the nation are moving away from a fee-for-service model to one that rewards patient outcomes and quality of care, which is why UHC is interested in a performance-based relationship that rewards Valley Children's Hospital's physicians for quality care and enables them to provide their services with competitive reimbursement rates.

If they are unable to renew their relationship with Valley Children's and they stop participating in UnitedHealthcare's network after August 15, they will ensure their members and customers have the following important information:

Enduring relationships and performance are key values for UHC, and are imbedded in all that they do for the nearly 1.7 million individuals across California who depend on them for access to quality and affordable health care. UHC hopes Valley Children's Hospital will work with them to renew its participation in their network, but in the meantime if you have any questions about negotiations, please ​contact a member of your b&p Sales Team - 888.722.3373.

1. Negotiations impact UnitedHealthcare of California and UnitedHealthcare Insurance Company products

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